2. The Algae Opportunity <ul><li>If all Palm Oil produced in Malaysia and Indonesia, 88% of world total, would be converted to BioDiesel, the total output would be equivalent to 30-35 M tons of BioDiesel per year, some 10-12% of the total diesel consumption in Europe. </li></ul><ul><li>If the same Palm Oil plantations are converted to Algae BioReactor plants, the total BioDiesel output would exceed 3.000 M tons per year, 3,7 times more then the total World diesel consumption in 2007!!!! </li></ul><ul><li>This technology is available today and can produce BioCrude oil at a cost less then US$300 per ton (MYR1.000/ton) or the equivalent of US$40 per barrel. </li></ul>
3. Raising Crude Palm Oil prices 16 Jan 2008: … At least one million tonnes in BioDiesel capacities sit idle – an estimated US$250 million in investment….
4. Growing concerns about Palmoil 14 January 2008 The draft rules by the European Union would probably have the biggest effect on growers of palm oil in countries like Malaysia and Indonesia, according to Matt Drinkwater, a biofuels analyst with New Energy Finance in London. “ Some proposed developments in Southeast Asia will almost certainly be blocked by these provisions,” he said, explaining that the rules would make it much harder to plant on recently cleared land or export fuels to Europe that emit significant amounts of greenhouse gases produced during the process of manufacturing biodiesel from palm oil.
5. The Algae Oil alternative n/a <US$300 (MYR 1.000) Feedstock Costs per ton BioCrude 3-5 ton 250-300 ton BioCrude per hectare per year Yes No Food-for-Fuel 30-36 months 60-90 days Time to first harvest US$1.000 (MYR 3.300) n/a Feedstock Price per ton BioCrude Palm Oil Algae
6. What is an Algae BioReactor? An Algae BioReactor produces Algae in a closed system. The Photosynthesis process, when exposing the algae to sunlight, enables the Algae to feed on CO 2 and to produces oil and O 2 . Algae can double in Biomass each 2-3 days and contains between 40 and 70% vegetable oil.
7. Algae Advantages <ul><li>No Conflict with “Food-for-Fuel” </li></ul><ul><li>Extremely high yield per hectare – no need for “slash-and-burn” </li></ul><ul><li>Green House Gas Impact – Algae is a “CO 2 eater” acting as a Carbon Capture and Sequestration (CCS) system </li></ul><ul><li>Algae is Potential Feedstock for: </li></ul><ul><ul><li>BioDiesel </li></ul></ul><ul><ul><li>BioEthanol </li></ul></ul><ul><ul><li>BioGas </li></ul></ul><ul><ul><li>Nutrition supplement </li></ul></ul><ul><ul><li>Pharmaceutical component </li></ul></ul>
8. Oil Yield per Area
9. Oil Yield for Algae Species
10. Crude Palm Oil Price development Source: http://www.palmoil.com/index.php?q=D1VTW1NASgIEAhEbVg9RAAYB
11. Schematic and Components BioCrude for BioDiesel Algae BioReactor CO 2 Command and Control Test and Analyse CO 2 Cleaning Algae Cake Algae Cake for Food and Pharmaceutical industries “ Oil Separator” Fertilizer Algae Feedstock for BioDiesel Production
12. Algae for 10.000 ton BioDiesel per year Approx: 5,4 Years Payback time full investment: Approx: €270.000 per month Monthly Operating Margin: Total: €460.000 per month Oil: €360.000 per month CO2: €75.000 per month Algae Cake: €25.000 per month Monthly Revenues: € 190.000 per month Monthly Operating Costs: 30,0 Ton per Day 10.950 Ton per Year Total BioCrude output: € 18.000.000 USD30.000.000 * SGD 40.000.000 Total Investments:
13. Required Investments
14. Risk Analysis – J-curve
15. Risk Analysis - Potential Variances
16. BioDiesel and Algae Cake <ul><li>When the oil is separated from the Algae, the residue is called Algae Cake and can be sold to food and pharmaceutical industries </li></ul><ul><li>Micro algae are rich in many specific and attractive compounds, some of which are very interesting as nutritional supplements, such as long-chain polyunsaturated fatty acids. Other nutriceuticals derived from algae are vitamins and antioxidants, such as β-carotene and astaxanthin. As well as important applications in the food industry, micro algae are also used in the pharmaceutical market as they contain sterols, which can be used as building blocks for pharmaceuticals (hormones). Furthermore, cyan bacteria are a potential source of compounds with biomedical applications, such as antimicrobial, antiviral and anticancer compounds. </li></ul><ul><li>The price of Algae Cake is very high Algae press cake is sold (today March, 2007) for minimum $ 1.53 and as high as $ 4.06 per Kg. </li></ul><ul><li>Algae Cake price is expected to rise until the marketplace determines its value. </li></ul>
17. BioGas for BioDiesel refineries <ul><li>Apart from the Algae BioReactor solution AUM is able to offer BioDiesel refineries solutions for BioGas production </li></ul><ul><li>BioGas production from the Glycerine, produced in the BioDiesel process, can be used for generating electricity and fuel for the plant or sold separately, generating additional revenue streams for the company </li></ul><ul><li>Advantages of installing BioGas production are: </li></ul><ul><ul><li>Increased bio energy yield with combined production of biodiesel and biogas </li></ul></ul><ul><ul><li>High biogas production (>4 m3 biogas/m3 digester volume and day) </li></ul></ul><ul><ul><li>Alternative use and reduction of rest product from biodiesel production </li></ul></ul><ul><ul><li>Increased profitability </li></ul></ul><ul><ul><li>Short return of investment </li></ul></ul>
18. AUM Business Creations Pte. Ltd. 27 Changi Village Road, #01-23 Singapore 509925 +65 8223 5356 [email_address] www.aumbiz.sg